The economic compensation shall be paid according to the standard of one month's salary for each full year of the employee's working years in the unit. For more than six months but less than one year, it shall be counted as one year; Less than six months, pay economic compensation for half a month's salary.
Legal basis: People's Republic of China (PRC) Labor Contract Law.
Article 41 Under any of the following circumstances, if it is necessary to lay off more than 20 employees or less than 20 employees, but it accounts for more than 10% of the total number of employees in the enterprise, the employing unit may explain the situation to the trade union or all employees 30 days in advance, report the reduction plan to the labor administrative department after listening to the opinions of the trade union or employees, and may lay off employees:
(1) Conforming to the provisions of the Enterprise Bankruptcy Law;
(two) serious difficulties in production and operation;
(three) the enterprise has changed production, major technological innovation or adjustment of business mode, and it still needs to reduce staff after changing the labor contract;
(4) Other major changes have taken place in the objective economic situation on which the labor contract was concluded, which makes it impossible to perform the labor contract.
When reducing personnel, priority should be given to retaining the following personnel:
(1) Concluding a long-term fixed-term labor contract with the unit;
(2) Concluding an open-ended labor contract with the unit;
(3) there are no other employees in the family, and there are elderly people or minors who need to support them.
If the employing unit reduces its staff in accordance with the provisions of the first paragraph of this article and recruits staff again within six months, it shall notify the retrenched staff and give priority to the retrenched staff under the same conditions.
Forty-seventh economic compensation shall be paid according to the standard of one month's salary for each full year of work in the unit. For more than six months but less than one year, it shall be counted as one year; If it is less than six months, economic compensation of half a month's salary shall be paid to the workers.
If the monthly salary of workers is three times higher than the average monthly salary of local workers announced by the people's government of the municipality directly under the central government or the city divided into districts where the employer is located, the standard for paying economic compensation to workers is three times the average monthly salary of workers, and the longest period for paying economic compensation to workers shall not exceed 12 years.
The monthly salary mentioned in this article refers to the average salary of workers in the twelve months before the dissolution or termination of the labor contract.
Article 87 Where an employing unit dissolves or terminates a labor contract in violation of the provisions of this Law, it shall pay compensation to the laborer at twice the economic compensation standard stipulated in Article 47 of this Law.